Which Statement Is TRUE Regarding the Correlation Coefficient

question 103

Multiple Choice

Which statement is TRUE regarding the correlation coefficient?

• A) It ranges from 0.00 to +1.00 and indicates the strength of the relationship between two variables.
• B) It ranges from -1.00 to +1.00 and indicates the strength and the direction of the relationship between two variables.
• C) It ranges from 0.00 to +1.00 and indicates the strength and the direction of the relationship between two variables.
• D) It ranges from -1.00 to +1.00 and indicates the strength of the relationship between two variables and the total variability of those measurements.

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Definitions:

Economic Infrastructure

The physical and organizational structures necessary for the operation of a society or enterprise, such as transportation, communication networks, and financial systems.

Joint Venture

A business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task.

Licensing

The legal process by which a licensor grants the licensee the rights to use, produce, or sell its intellectual property in return for payment or royalties.

Direct Investment

The practice of purchasing a controlling interest in a foreign business or starting a new enterprise in a foreign country as a means of entering a market.